The CMA launched a public consultation on the future oversight of Open Banking in March 2021, and has now published the responses to that consultation.
CMA’s recommendations are that the future entity should:
- have effective regulatory oversight, with a new Joint Regulatory Oversight Committee to agree and implement the next steps led jointly by the FCA and PSR;
- have independent and accountable leadership, with a majority of independent directors on its Board;
- have a clear purpose articulated by the Board;
- be adequately resourced to carry out its functions through a more broadly-based and sustainable funding model;
- effectively serve the interests of consumers and small and medium sized businesses, including consideration for how these groups will be represented in the governance of the entity;
- be sustainable and adaptable to the future needs of the sector; and
- have a system to effectively support the monitoring and enforcement of the Retail Banking Market Investigation Order 2017.
CMA’s recommendations will be taken into consideration in the design of a future entity to succeed the OBIE. CMA has issued a joint statement together with the Treasury, FCA and PSR outlining their future plans for the oversight of the future entity.